Daily Pivots: (S1) 1.2339; (P) 1.2425; (R1) 1.2497; More….
Intraday bias in USD/CAD remains on the downside for the moment. Current momentum argues that larger down trend from 1.4689 might be resuming. Deeper fall should be seen back to retest 1.2061 low first. On the upside, above 1.2480 minor resistance will turn bias neutral and bring consolidation before staging another decline.
In the bigger picture, current development argues that rebound from 1.2061 has completed at 1.2919, rejected by 55 week EMA (now at 1.2850) and kept below 38.2% retracement of 1.4689 to 1.2061 at 1.3065. The development also suggests that long term fall from 1.4689 is not completed yet. Decisive break of 1.2061 low will target 61.8% retracement of 0.9406 to 1.4689 at 1.1424. This will now be the favored case as long as 1.2929 resistance holds.
